Hilton IPO Opens Up (Only) 7%

Tyler Durden's picture


Six years after Blackstone paid $26.7bn to LBO this hotel chain (and pretty much marked the top of the last cycle), Hilton is back with the largest ever lodging IPO. Pricing at $20 per share, the largest hotel oeprator in the world is not enjoying the kind of post-IPO euphoria that the likes of 'real' companies like Facebook and Twitter had... for now HLT is up a mere 7%... the question is will the largest hotel IPO also mark the top of this cycle? Finally, with the "dot com 2.0 mentality" raging, will the fact that HLT actually has PE multiple expansion-limiting earnings, be its biggest curse?


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Thu, 12/12/2013 - 11:24 | 4239542 tsx500
tsx500's picture

Thanks, but ... no thanks !

Thu, 12/12/2013 - 11:30 | 4239565 Rory_Breaker
Rory_Breaker's picture

Hey there's a night with Paris Hilton involved..

Thu, 12/12/2013 - 11:30 | 4239571 Rory_Breaker
Rory_Breaker's picture

I downvoted myself

Thu, 12/12/2013 - 11:40 | 4239604 Joe Davola
Joe Davola's picture

Better include a free shot of penicilin with that deal.

Thu, 12/12/2013 - 11:59 | 4239661 Ruffcut
Ruffcut's picture

She does know her spread sheets.

Thu, 12/12/2013 - 12:05 | 4239694 tsx500
tsx500's picture

yuk.  i'd rather pleasure myself with a cheese grater.

Thu, 12/12/2013 - 14:41 | 4240418 financial apoca...
financial apocalyptic contagion's picture

freaking hate the dot-com craze everywhere

its bad enough in America and now India has flipkart, naukri.com, snapdeal.com 

all indians are doing is joining these shitty start-ups that'l just take longer to top out coz of our larger population

Thu, 12/12/2013 - 11:30 | 4239569 doomandbloom
doomandbloom's picture

Any new Paris Hilton videos free with the shares?

Thu, 12/12/2013 - 11:40 | 4239594 Rory_Breaker
Rory_Breaker's picture

You don't need to buy shares for that!

Thu, 12/12/2013 - 11:26 | 4239543 Traianus Augustus
Traianus Augustus's picture

I guess the Fed doesn't like Hilton.

Thu, 12/12/2013 - 11:26 | 4239544 Al Huxley
Al Huxley's picture

Ahh, HLT, FB and TWTR - safe ports through this little corrective hiccup, no doubt about it. The winning portfolio for 2014.

Thu, 12/12/2013 - 11:31 | 4239574 youngman
youngman's picture

I don't like the fact that they do not own most of the Real Estate....just management contracts.....

Thu, 12/12/2013 - 14:52 | 4240445 TheGardener
TheGardener's picture


Thu, 12/12/2013 - 11:36 | 4239590 RaceToTheBottom
RaceToTheBottom's picture

I guess that Hilton is not like a Silicon Valley start-up.  Wow, who would have thought that?

Thu, 12/12/2013 - 11:38 | 4239601 youngman
youngman's picture

This should raise the price of housing in the Hamptons....I think the Black Rockies live out east...not in Palo Alto like the Twitties do

Thu, 12/12/2013 - 11:40 | 4239611 Aknownymouse
Aknownymouse's picture

With a ticker HLT, I guess it should get halted soon

Thu, 12/12/2013 - 11:54 | 4239657 buzzsaw99
buzzsaw99's picture

"they" will not allow a down market on ipo day

Thu, 12/12/2013 - 12:59 | 4239955 disabledvet
disabledvet's picture

there was rumor floated that this IPO was going to raise 20 billion...not the two it actually did. as with muni debt "it's just say no time." the bubble in London real estate is truly spectacular...and if that thing blows sky high that pound is going to head south in a hurry...taking a lot of leverage with it of course.

Thu, 12/12/2013 - 11:56 | 4239658 pragmatic hobo
pragmatic hobo's picture

there goes jpy ... and there goes iwm ... and everything else with it ...

Thu, 12/12/2013 - 12:27 | 4239796 conspicio
conspicio's picture

My first question is, does any of this IPO money start showing up where I can see it? Remodels, better loyalty structure, higher brand standards...If not, no matter the earnings and stock status it is off to a competitor for many companies (mine included) who are hanging in there as customers but expect to see some of this make fast improvements in signature properties and service.

Thu, 12/12/2013 - 12:34 | 4239832 gosh
gosh's picture

I remember hilton selling out right at the top.  They had really good timing have to wonder if its the same thing this time

Thu, 12/12/2013 - 13:39 | 4240182 Rathmullan
Rathmullan's picture

There's always "virtual" hotel rooms and the tease of "gaming" potential. The crooks will always dress the pig anyway they can to make a buck off of their mothers.

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